USTaxPenaltySaverIRS Collections Timeline
How much time do you have? See exactly when the IRS will take collection action and your critical deadlines.
Track the notice sequence from CP14 to levy, monitor your CDP appeal window, and get personalized recommendations.
IRS Collection Notice Sequence
The IRS must follow a specific notice sequence before taking collection action. Understanding this timeline helps you act before it's too late.
Tax Assessment
Day 0
IRS officially records your tax debt. This starts the 10-year Collection Statute Expiration Date (CSED) clock.
CP14 - Balance Due Notice
~21 days after assessment
First official notice of balance due. You have 21 days to pay or contact the IRS. This is your best opportunity to resolve the debt with minimal penalties.
CP501 - First Reminder
~8 weeks after CP14
Reminder that you still owe. Interest and penalties continue to accumulate. Payment plan options still available.
CP503 - Second Reminder
~8 weeks after CP501
More urgent reminder. The IRS warns of escalating collection actions. Consider contacting the IRS to arrange payment.
CP504 - Notice of Intent to Levy
~8 weeks after CP503
IMPORTANT: The IRS can now levy your state income tax refund. This notice does NOT provide CDP appeal rights. Federal tax lien may be filed soon if balance exceeds $10,000.
LT11/CP90 - Final Notice
~6 weeks after CP504
FINAL NOTICE before levy. You have exactly 30 days to request a Collection Due Process (CDP) hearing using Form 12153. This is your last chance to stop collection action through appeals.
30-Day CDP Window
30 days from final notice
CRITICAL DEADLINE: File Form 12153 to request a CDP hearing. This stops all collection action while your appeal is pending. Missing this deadline significantly limits your options.
Levy Authorized
After CDP window expires
If you did not file a CDP request, the IRS can now levy your bank accounts, garnish wages, seize property, and take other collection actions without further notice.
Total Timeline
~8-10 Months
From tax assessment to levy (assuming no response to notices)
* 2024 update: IRS extended intervals between CP501-CP504 notices from 5 weeks to 8 weeks
Collection Due Process (CDP) Hearing Rights
CDP Hearing Benefits
- ✓Stops all collection action while pending
- ✓Right to Tax Court review if IRS rejects
- ✓Propose alternatives: IA, OIC, or CNC
- ✓Challenge the underlying tax liability
- ✓Independent review by IRS Appeals
If You Miss the 30-Day Deadline
- ✗IRS can levy immediately without further notice
- ✗No automatic stop on collection action
- ✗No Tax Court review rights
- ⚠Can request "equivalent hearing" within 1 year (fewer protections)
Federal Tax Lien Filing
$10,000 Threshold
IRS Fresh Start Program
The IRS generally does not file a Notice of Federal Tax Lien (NFTL) for balances under $10,000. For larger balances, liens are typically filed 60-90 days after the CP504 notice.
Lien Impacts:
- • Public record (affects credit)
- • Attaches to all property
- • Must satisfy before selling property
- • Affects ability to get loans
How to Avoid:
- • Pay balance below $10,000
- • Enter Installment Agreement
- • Submit Offer in Compromise
- • Request CNC status
Events That Suspend Collections
Certain events pause the IRS collection timeline. Understanding these can help you protect yourself while resolving your tax situation.
Bankruptcy Filing
Stops Collections: Yes
CSED Extension: + 180 days after discharge
Automatic stay stops all IRS collection
Offer in Compromise
Stops Collections: Yes
CSED Extension: + 30 days after decision
Collections paused while OIC is pending
CDP Hearing
Stops Collections: Yes
CSED Extension: + 90 days after decision
Most powerful protection available
Installment Agreement
Stops Collections: Yes
CSED Extension: + 30 days if rejected
Collections stop while IA request pending
Currently Not Collectible
Stops Collections: Yes
CSED Extension: None
Reviewed every 6-24 months
Military Combat Zone
Stops Collections: Yes
CSED Extension: + 180 days after service
SCRA protections apply
Take Action Before It's Too Late
Request a CDP Hearing
If you've received a final notice (LT11, CP90), you may still have time to file Form 12153 and stop collection action.
Generate Form 12153 →Set Up Payment Plan
An Installment Agreement stops collection action and gives you time to pay. Balances under $50,000 qualify for streamlined processing.
Learn About Payment Plans →Settle for Less (OIC)
If you can't pay in full, an Offer in Compromise may let you settle for a fraction of what you owe.
Calculate Your OIC Amount →Request Hardship Status
If paying would cause significant financial hardship, you may qualify for Currently Not Collectible (CNC) status.
Check CNC Eligibility →Collections Timeline FAQs
From the initial assessment, you typically have 8-10 months before the IRS can levy your assets. The IRS must send several notices (CP14, CP501, CP503, CP504) before issuing a Final Notice of Intent to Levy (LT11 or CP90). After the final notice, you have 30 days to request a Collection Due Process (CDP) hearing, which stops collection action while pending.
The IRS follows a standard sequence: 1) CP14 (Balance Due) - sent ~21 days after assessment, 2) CP501 (First Reminder) - ~8 weeks later, 3) CP503 (Second Reminder) - ~8 weeks later, 4) CP504 (Intent to Levy) - ~8 weeks later (can take state refund), 5) LT11/CP90 (Final Notice) - ~6 weeks later with 30-day CDP rights, 6) Levy - after CDP window expires.
A CDP hearing is your right to appeal before the IRS levies your assets. After receiving a final notice (LT11, CP90, or Letter 1058), you have exactly 30 days to file Form 12153 to request a hearing. During the hearing, you can propose collection alternatives like an Installment Agreement, Offer in Compromise, or Currently Not Collectible status. Filing a CDP request stops all collection action while the appeal is pending.
If you miss the 30-day CDP deadline, you can still request an "equivalent hearing" within one year of the final notice date. However, equivalent hearings have fewer protections: they do not stop IRS collection action, and you lose the right to Tax Court review. Acting within 30 days is critical for maximum protection.
Under the IRS Fresh Start Program, the IRS generally does not file a Notice of Federal Tax Lien (NFTL) for balances under $10,000. For larger balances, the IRS typically files a lien 60-90 days after the CP504 notice. A lien is a public record that attaches to all your property and affects your credit score.
To stop or prevent a levy: 1) File a CDP hearing request within 30 days of the final notice, 2) Set up an Installment Agreement, 3) Submit an Offer in Compromise, 4) Request Currently Not Collectible (CNC) status due to hardship, 5) Pay the balance in full, or 6) File for bankruptcy (automatic stay). The most effective option depends on your specific situation.
The IRS can levy (seize) most types of property: bank accounts (one-time seizure), wages (continuous garnishment up to ~15-25% depending on exemptions), Social Security benefits (up to 15%), federal contractor payments, retirement accounts, vehicles, real estate, and other assets. Some property is exempt, including necessary work tools and certain public assistance.
Several events pause IRS collections: 1) Bankruptcy filing - suspends collections + 180 days after discharge, 2) Offer in Compromise pending - suspends + 30 days, 3) CDP hearing pending - suspends + 90 days, 4) Installment Agreement pending - suspends + 30 days if rejected, 5) Innocent Spouse request - usually does not suspend, 6) Military combat zone service - suspends + 180 days.
Know Your Timeline. Protect Your Assets.
Get a personalized IRS collections timeline based on your situation. See exactly when you need to act and what options you have.